The author investigates the methods of realizing basic principles of state debt management and demonstrates the role of the state and international financial organizations in debt management. The article focuses on using indebtedness for providing economic growth and forming the borrower image of Ukraine.

Key words:
Credit rating, debt policy, debt restructuring, external debt, preferential credit.

In the integrating and globalising world where huge capital and information necessary for rational decisions circulate very easily and with enormous speed, the real and regulatory processes in Poland are increasingly dependent on what is happening in the world economy. However, the convergence in the economic development requires prompt diffusion of the knowledge-basedeconomy models. This process is, however, associated with increasing risk of economic ventures, as well as the risk of economic security of the people with less ability to adapt. Qualitative adaptation of human capital is necessary to counteract the negative implications of globalisation and European integration. At the same time, increases in the accumulative capacity of the Polish economy and the efficiency of investments in physical capital (as well as modernization of traditional sectors by creating new workplaces, developing economic infrastructure, small and medium-sized enterprises sector, rural areas and residential building through diffusion of information and telecommunication technologies) should be taking place.  Elimination of the barriers that complicate the realization of the abovementioned objectives by means of market mechanisms would be insufficient for the development of the knowledge-based economy. Thus, needed is the governmental policy for support, rationalization and creation of market mechanisms, and development of enterprise and innovation. To assure its coherence with market mechanisms and rationality in eliminating the threats of globalisation, this policy must be based on a long-term holistic strategy concentrated on increasesin productivity, human capital development and economically-justifiable and socially-accepted social inequalities.

Key words:
Economic cooperation, economic development, economic policy, European integration, globalization, new economy, regionalization.

Germany is Ukraine’s second most important trade partner after Russia. Ukraine features a growing market for metallurgy products, machines and textiles. Along with this positive foreign trade development, which can potentially benefit Germany and the EU countries, one should take into account the macroeconomic development, such as a high inflation rate. Our article presents some empirical data on the economic development of Ukraine and discusses economic grounds for these processes.

Key words:
economic boom, exports, external debt, external trade, foreign direct investments, imports, labour market, labour productivity, labour resources, unemployment.

The authors investigate the law-theoretic and methodological aspects of convergent principles of public service development in Ukraine in the context of its integration into the European Union, perform a comparative analysis of main integration models, and substantiate the adaptation-implementation model for development of the Ukrainian public service. The authors determine the positive and negative factors which influence the development of public service and put forward suggestions for strengthening of public service capacity in the sphere of European integration.

Key words:
Adaptation-implementation model of public service development in Ukraine, comparative analysis, European Union, European integration, transformation processes.

Recent financial crises illustrate the risks of financial volatility and macroeconomic instability in the process of economic growth and development. The paper examines the determinants of financial crises in emerging markets, the causes behind vulnerability to crises and the appropriateness of various policy responses. We find that the financial crises of 1990s demonstrated the strong nexus between a sound financial system and the performance of the underlying economy. The need for emerging market countries to continue developing the instruments and infrastructure of the capital markets was clearly demonstrated. In this paper we take stock of the policy lessons which can reduce the probability of future crises and limit their effects.

Key words:
Financial crises, financial volatility, macroeconomic instability.

The author brings into focus three aspects of the research of Edmund S. Phelps: capital formation and the «golden rule of capital accumulation», the role of human capital in diffusion (and production) of new technologies, and expectations and the Phillips curve.

Key words:
Diffusion of new technologies, golden rule of capital accumulation, inflation, investments, human capital, inter-temporal trade-off, Phillips curve, unemployment.

The authors uncover the essence of the theory of inter-temporal trade-offs in macroeconomics theory. The main attention is paid to aspects of capital formation
and the golden rule of capital accumulation, as well as the role of human factor in new technology creation and the Phillips curve.

Key words:
Growth, golden rule of capital accumulation, inflation, inter-temporal tradeoff, unemployment.